Protection from Property Fraud
In todays electronic world protection from property fraud is another issue property owner face. There has been a number of owners who have lost their property to fraudster using the latest technoledge to manipulate identity documents and then employ an agent to sell that property, collect the money then vanish.
A recent news article placed identity theft as the fastest growing type of fraud in Australia with an 80% year on year increase. Cases of identity theft have even moved into the property market!
Can you protect property against identity fraud?
Identity theft has the potential to be devastating and financially crippling, this it is not new to our shores.
Below we share some alarming Australian examples:
- While living overseas the brazen fraudsters impersonated the owner, as a result they forged their signature and had a real estate agent to list the house. They engaged a lawyer to manage the conveyance and directed her bank to discharge her mortgage from the title to her property. The sale proceeds were banked into an account in Indonesia.
- In 2010 Western Australia was the target of choice for fraudsters. A house in Karrinyup was sold without the knowledge of its owner. African based fraudsters successfully impersonated the property’s owner and instructed the property manager to market and sell the home.
What about compensation?
For a victim who has had fraud committed against title to their home, seeking compensation for the loss is a long, stressful and expensive road.
Some state government have laws that allow for compensation, this is often as the option of last resort.
What protection is available?
A title insurance policy provides coverage for home owners against a wide range of property risks. It including loss as a result of fraud and forgery against the title. If the home owners had a title insurance policy they would receive protection against the loss caused by the fraud. Residing in the house will minimise the risk to the property. Modern technology has introduced modern risks. Taking steps to minimise risk is becoming essential in today’s world. More information on property fraud
For more information contact your our office 0249716290 or First Title